PremiumJackson Hole Preview: What Will Warsh Say?
With Nvidia earnings in the rearview mirror, markets now turn to the last big event of the week, and possibly the biggest central bank announcement left this year: Warsh’s speech at Jackson Hole, which according to Goldman's trading desk, could prove to be consequential for the term premium embedded in US rates. With data coming in weaker recently and reducing the immediate need for tighter policy, the Fed Chair has the opportunity to re-establish the inflation-fighting mantra from his June press conference without having to signal any imminent action.
So what will Kevin Warsh say tomorrow at 10am ET, when the new Fed Chair provides the keynote address at the Kansas City Fed’s Jackson Hole Symposium.